CFC Stanbic Q3 earnings down 34pc

CFC Stanbic has recorded a 33.6 per cent drop in profits after tax for the nine months to September following a decline in non-interest income.

The bank posted a Sh2.7 billion after tax profit as at end of September compared to Sh4.1 billion in a similar period last year.

CFC, which operates a branch in South Sudan, had Sh4.8 billion in non-interest income down from Sh6.2 billion.

CFC’s loan book expanded by Sh18 billion to Sh104 billion leading to a 20.9 per cent increase in interest income to Sh8.6 billion.

Its deposit base increased by a similar margin Sh14 billion to Sh113 billion. Interest expenses grew at a faster pace, 68 per cent, underlining the recent rise in the cost of cash.

The banks shares were trading at Sh90 each Friday.

SOURCE: BUSINESS DAILY